Binance has managed to get the full Virtual Asset Services Provider (VASP) license from VARA, Dubai’s Virtual Assets Regulatory Authority (VARA). Before that, the local arm of Binance, Binance FZE, got the Operational MVP license in July 2023, which enabled the platform to provide broker-dealer services and virtual-asset derivatives trading to institutional and qualified investors.
The full VASP license has now enabled Binance FZE to grow its offerings and reach within the Dubai financial market. Mr. Alex Chehade, Binance FZE’s general manager, commented on the license as a sign of Dubai’s leadership in blockchain technology and its ability to improve the finance sector.
Binance appoints new directors amidst changes
As part of the conditions for being fully licensed as VASP, Binance made a number of changes to its corporate governance. Changpeng “CZ” Zhao, one of the co-founders and a former CEO, agreed to not have voting control in the local unit. This step follows CZ anticipating his sentencing in the United States after the Department of Justice wrapped up their settlement with him in November.
In line with the changes in the regulatory environment and to improve its compliance system, Binance Holdings has appointed a new seven-member Board of Directors. The former Ambassador of Barbados to the UAE, Gabriel Abed, will serve as the Chair of the Board. This board also includes CEO Richard Teng, Co-Founder Heina Chen, and other executive members with various professional experiences. It seeks to guide Binance towards more transparency and responsibility.
Dedication to compliance and innovation
Richard Teng, CEO of Binance, believes that the state-level license is a sign of the firm’s seriousness in terms of compliance and promoting innovation toward disrupting the current economic models. In addition to him congratulating the firm, he specified the success story however valuable now reflects their responsibility to grow in responsible manner as well as provide transparent operations.
The licensing and leadership restructuring afterward indicate Binance’s position to cooperate with global compliance standards and enhance users’ and regulators’ confidence in it. While the crypto assets environment continues to evolve, Binance’s strategies seem aimed at stable growth and a strong regulatory basis.
